Econometrica Vol. 62 No. 5 1994
Discrete and Continuous Choice, Max-Stable Processes, and Independence from Irrelevant Attributes
open access
Abstract
The Generalized Extreme Value Model was developed by McFadden for the case with discrete choice sets. The present paper extends this model to cases with both discrete and continuous choice sets and choice sets that are unobservable relative to the analyst. We also propose behavioral assumptions that justify random utility functions (processes) that have a max stable structure i.e., utility processes where the finite dimensional distributions are of the multivariate extreme value type. Finally we derive non-parametrically testable implications for the choice probabilities in the continuous case.
- DOI
- 10.2307/2951512
- Volume
- 62
- Issue
- 5
- Pages
- 1179
- Sources
- bibtex:phds-export.bib openalex crossref